Location: Los Angeles-Long Beach-Glendale, CA | Metro: Los Angeles-Long Beach-Glendale, CA HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $2,550 |
| 1 Bedroom | $2,850 |
| 2 Bedrooms | $3,520 |
| 3 Bedrooms | $4,470 |
| 4 Bedrooms | $5,000 |
| 5 Bedrooms | $5,800 |
| 6 Bedrooms | $6,496 |
| 7 Bedrooms | $7,016 |
| 8 Bedrooms | $7,367 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $3,520 | $724,904 | 0.49% | F |
| 3BR | $4,470 | $858,378 | 0.52% | F |
| 4BR | $5,000 | $973,912 | 0.51% | F |
| 5BR | $5,800 | $1,443,611 | 0.4% | F |
U.S. Census Bureau data (2024)
ZIP code 90603 is located in Whittier, California, a city known for its suburban charm and strong sense of community. The area boasts a total population of 21,118 residents, with 21.5% of them being renters. This indicates a neighborhood where homeownership is prevalent, yet there is still a significant rental market. The median household income in 90603 is notably high at $136,705, suggesting that the residents are financially stable and likely to meet their housing obligations without issue. Furthermore, the median home value stands at $892,748, reflecting the affluent nature of the area.
Moving into the specifics of the rental market, the Fair Market Rent (FMR) for 90603 as of the fiscal year 2024 is set at $3,080. In contrast, the actual market rent, according to the latest Census American Community Survey (ACS), is lower at $2,344. This discrepancy between the FMR and the market rent presents an opportunity for hands-on investors who can add value to properties through improvements or efficient management practices. However, it also poses a challenge for hands-off operators, as they might find themselves renting below the FMR without the means to increase the rent due to market conditions.
The economic landscape of 90603 suggests that it is well-suited for a hands-on value-add buyer rather than a hands-off voucher operator. With the potential to improve property values and rents through strategic investments and management, there is a clear path to maximizing returns. For those willing to engage actively in property maintenance and tenant relations, the financial stability of the local population supports a robust rental market. Conversely, for passive investors relying solely on voucher programs, the lower market rents may not align with the higher FMRs, leading to less favorable investment outcomes.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.